Category: Money Tips Date: 2006-10-23
Source: Big Time Investment Author: Wang Shun
Since July 5 Hu Zhi hit a new high of 1757.47 in two years point, I started to shock all the way down, as of last Friday, the Shanghai index down from its peak of more than 187 points, or 10.64%. Many individual stocks follow the broader market fell simultaneously, and even some individual stocks led lower by the market. Analysis of these sales of stock, help us to understand the risks of the current market where the laws of understanding of risk characteristics of stocks, better to avoid to avoid risks.
In the recent market conditions, there are the following types of plates List of stocks tend to occupy the forefront of decline, investors need to pay attention to identify and avoid major market risk.
The Awkwardness of Fund
In a recent market conditions, the Fund has shown initiative to sell into Awkwardness trend. Recently appeared in a number of Awkwardness of Fund continued to decline, such as the G, gold, Suning Appliance, G in the payment appear Po Wei sell into low constantly. By analyzing the funds rate is much higher than the net decline in the magnitude of the market index fell phenomenon can be seen, some of the fund has become a fall Awkwardness a "disaster area." The Awkwardness of the narrative part of the fund fell by funds and other institutional investors pare holdings, cash in order to avoid the risk of secondary market, and even fought in a market started.
Of course, for these stocks fall, investors not only to see where their risks, but also should pay attention to the opportunities to come. As some of Awkwardness of Fund itself has a good investment value, but as a result of the Fund's lighten up a large drop in stock prices. Such stocks contain a larger rebound kinetic energy, once the trend stabilized, these stocks tend to be the first to start a strong rally.
Warrants Plate
Warrants last week, appeared as a whole fell sharply plate market, in which Baosteel JTB1 week fell more than 30%. From its seat in the transaction, we can find, "Guoxin Securities in Shenzhen, Hong-Ling" and other hot money figure shows that with the recent part of the gradual expiration of warrants, warrants the risk has become increasingly clear that the withdrawal of hot money is obviously the trend, such as Baoshan Iron and Steel JTB1 about to expire, the current situation of waste paper once it expires will be an investor if the blind intervention, it will suffer serious damage. It is also noteworthy Vanke warrants last week, plunged again and the emergence of signs of Po Wei, closing only 9 cents. Plate in Baosteel warrants to subscribe for the case is about to expire, the whole basis of warrant prices falter, there accelerate the decline in trend, which investors should be avoided, especially for those about to expire warrants, investors should pay attention to risk-averse. As for the other warrants species, of course, need to be treated differently. Warrants plate now seriously oversold, short-term rebound in the opportunity to have some, but should seize the opportunity to intervene, and only suitable for "super short-term." Because of the highly speculative nature of warrants, will be given more access to huge short-term profits.
Shares resume trading shares of reform
The recent market, located in the Shanghai and Shenzhen fell List forefront of many of them are stock reform resume trading shares, if the right price according to complex calculations, some stock restructuring stocks fall into deep decline. Review and analyze the recent trend of poor resume trading shares of stock reform, we found that the characteristics are: poor performance, fundamentals worrying by the institution of the pressure. Although some stocks due to fall too large, there are also some institutions use the opportunity to enter, but only for short-term operation is expected to some fundamentals of poor stock market outlook changed after the shares resume trading, it is highly likely to be out of the weak Quotes. Shares of stock investors in the process robbed of the right to change operation, for failure to reform the poor performance of shares of stocks should be avoided in order to avoid losses.
It is worth noting that the shares resume trading stock not all of them changed the weakening, which has produced a serious split, a number of stocks with good performance will continue after the resumption strong, and some poor individual stocks underperforming programs will be abandoned by the ruthless Therefore, such stocks afternoon to be treated differently.
Early downward rigidity in stock
The recent decline chart, the early part of the defensive stocks as the market pioneer in the leading decliners. For example, Shanghai stock market decline in the championship Wednesday and Zhangbaijituan Jinfeng G share a common characteristic, that is, pre-show resilience, and the sharp rise in stocks; in the market that day, G family-oriented, G Golden, G Fengyuan and New Huaguang varieties such as the recent downward rigidity in a rapid sell into Quotes. Thursday's decline standings, there are many is the recent trend of strong performance and resilience of stocks, such as Huadian Energy, the tungsten high-tech, G heavy machinery and so on, these stocks are the market risks in the current section. Therefore, the early trend of a strong defensive performance in the variety, investors should pay attention to risk-averse. Such stocks are often ferocious Budie Quotes, would lead investors to the rapid appearance of losses.
Re-stocks fall
Pre-market conditions, some notion of individual stocks to mergers and acquisitions are subject to favorable for the market, but the broader market in the near term trend in the callback, the mentality of investors gradually calm down, follow the trend of warm significantly decreased. Some stocks go up but only once the restructuring is not successful, there will be a great risk. The large decline over the same period, the decline in stocks beat the market decline is the reorganization of the failure of some stocks, such as the East Lake High-tech since July 5 fall in the unit since the depth of 34%. Because there is reorganization of the early expectations, the Unit has been sought after some short-term funds, once expectations have not only ruthlessly suppressed by the market. Therefore, the concept of reorganization and acquisition of some of the stocks should be treated differently, there is substantial reorganization may be appropriately concerned about, but only the concept of speculation will have to just leave.
Poor performance of shares
Compared with the broader market, decliners also some of the fundamentals are no longer supported, mid-year report poor performance of individual stocks. Especially poor performance of early or too large stocks, sold off more easily, such as the Denghai kinds of industries. The Unit has a lot of money into the speculation early stage, lucrative; mid-year report results for the pre-fall, a number of institutions will use the opportunity to out goods, so the market outlook for such stocks should be strongly avoided.
